Al Mayadeen English

  • Ar
  • Es
  • x
Al Mayadeen English

Slogan

  • News
    • Politics
    • Economy
    • Sports
    • Arts&Culture
    • Health
    • Miscellaneous
    • Technology
    • Environment
  • Articles
    • Opinion
    • Analysis
    • Blog
    • Features
  • Videos
    • NewsFeed
    • Video Features
    • Explainers
    • TV
    • Digital Series
  • Infographs
  • In Pictures
  • • LIVE
News
  • Politics
  • Economy
  • Sports
  • Arts&Culture
  • Health
  • Miscellaneous
  • Technology
  • Environment
Articles
  • Opinion
  • Analysis
  • Blog
  • Features
Videos
  • NewsFeed
  • Video Features
  • Explainers
  • TV
  • Digital Series
Infographs
In Pictures
  • Africa
  • Asia
  • Asia-Pacific
  • Europe
  • Latin America
  • MENA
  • Palestine
  • US & Canada
BREAKING
Al-Nakhalah: We are the rightful owners, and we must fight to retrieve our rights
Al-Nakhalah: The enemy and its allies must know that we can never surrender to their terms and diktats after all the sacrifices made
Al-Nakhalah: The prisoner exchange clause can be completed in the next few days, and thus we will have pulled the [explosion] fuse and removed the enemy's justifications for aggression
Al-Nakhalah: The Resistance has expressed its willingness to negotiate on the basis that there are items that can be dealt with positively, the first of which is the prisoner exchange item
Al-Nakhalah: Trump's plan entails the Palestinian people's declaration of complete surrender to the enemy
PIJ Secretary-General, Ziyad al-Nakhalah, in an address aired on Al Mayadeen: The Resistance is engaging in a fierce negotiating battle under the so-called Trump plan
Russian Federation Council approves joint military cooperation agreement with Cuba
Al-Nunu: Today, the lists of prisoners required to be released, the agreed-upon criteria and numbers, were exchanged
Al-Nunu from Sharm el-Sheikh: Negotiations focused on mechanisms for implementing an end to the war, the withdrawal of occupation forces from the Gaza Strip, and the exchange of prisoners
Al-Nunu from Sharm el-Sheikh: Mediators are making great efforts to remove any obstacles in the way of implementing the ceasefire, and a sense of optimism now prevails among all parties

Britain’s stalling economy blamed on inflation, product shortages

  • By Al Mayadeen Net
  • Source: Agencies
  • 6 Jan 2022 15:14
3 Min Read

Prior to plan B, firms are concerned about rising interest rates, as well as cash flow and debt issues, according to a survey conducted in the fourth quarter of 2021.

  • x
  • A shopper looks at empty shelves of the meat aisle in a supermarket, Britain (Reuters)
    A shopper looks at empty shelves of the meat aisle in a supermarket, Britain (Reuters)

According to a wide-ranging company survey, Britain's economic recovery stalled prior to the arrival of the Omicron variant of Covid and the dampening effect of the government's plan B restrictions on consumer spending during the Christmas shopping season.

Businesses blamed spiraling inflation and import shortages for a drop in sales in the fourth quarter, which meant that an expansion that began in the spring and summer came to a halt.

The British Chambers of Commerce (BCC) added in a message that many respondents to its quarterly survey of nearly 5,500 firms revealed that they were running low on cash and had scrapped investment plans to stay afloat into the new year.

According to the BCC's head of economics Suren Thiru, sales growth has stalled as businesses struggle with "mounting headwinds" such as inflation, a shortage of skilled workers, and difficulties sourcing products from overseas.

“The persistent weakness in cash flow is troubling because it leaves businesses more exposed to the economic impact of Omicron, rising inflation, and potential further restrictions,” he said.

The survey also revealed that the prospect of interest rate hikes by Bank of England officials was a source of concern for firms that had taken on additional debt in the last 20 months to deal with the pandemic. In December, the bank raised interest rates to 0.25%.

Related News

George Galloway, wife detained at Gatwick, released without charge

'Racist, immoral': Starmer on Farage's Reform deportation plan

According to a number of reports, the UK economy is in for a difficult spring, with a sharp rise in consumer prices reducing household disposable income and undermining consumer confidence.

Official reports stated that the consumer price index (CPI) increased to 5.1% in November, owing to persistent increases in oil and gas prices, as well as other commodities such as wheat and copper.

Consumer spending has fueled the recovery, accounting for more than 80% of UK growth, while government spending, such as the NHS, has made up the majority of the difference.

Second quarter of 2021

GDP growth reached 5.5% in the second quarter of 2021, but then fell back to 1.3% in the third quarter. According to the BCC survey, which was conducted in the final week of November, the economy was on track to contract in the fourth quarter.

Thiru predicted that the economy would contract in the first few months of this year as the message to work from home and avoid large gatherings impacted sales.

He added that "the UK economy is starting 2022 facing some key challenges. The renewed reluctance among consumers to spend and staff shortages triggered by Omicron and plan B may mean that the UK economy contracts in the near term, particularly if more restrictions are needed."

"Rising inflation is likely to limit UK’s growth prospects this year by eroding consumers’ spending power and squeezing firms’ profit margins and their ability to invest. The notable uptick in concerns over higher interest rates underscores the need for the Bank of England to proceed with caution on further rate rises to avoid undermining confidence and an already fragile recovery."

  • United Kingdom
  • Britain
  • Coronavirus
  • Omicron

Most Read

Tucker Carlson speaks at a memorial for Charlie Kirk, Sunday, September 21, 2025, at State Farm Stadium in Glendale, Arizona (AP)

Tucker Carlson: Israeli officers gave orders on Iran inside Pentagon

  • Politics
  • 2 Oct 2025
A Hamas fighter in combat fatigues stands before the ceremony for the handover of Israeli captives to the Red Cross in Nuseirat, central Gaza Strip, Saturday, February 22, 2025 (AP)

Hamas responds to Trump plan, backs Gaza withdrawal, exchange

  • Politics
  • 3 Oct 2025
ap

'Israel' pays influencers $7K per post to whitewash Gaza genocide

  • Politics
  • 1 Oct 2025
Mossad’s secret role in Aldo Moro’s 1978 murder revealed

Mossad’s secret role in Aldo Moro’s 1978 murder exposed

  • Politics
  • 5 Oct 2025

Coverage

All
War on Gaza

Read Next

All
In this May 20, 20201, photo Marine Gen. Frank McKenzie, the head of US Central Command, arrives in Baghdad, Iraq (AP)
Politics

US spent $33 billion on post-Oct.7 genocide, wars, Brown Uni reports

Speaker of the House Mike Johnson, R-La., holds a news conference to mark the seventh day of the government shutdown, at the Capitol in Washington, Tuesday, Oct. 7, 2025. (AP)
Politics

US troops face unpaid wages as government shutdown drags on

Mourners wave Hezbollah and a Palestinian flag during the funeral of Hezbollah former leader Sayyed Hassan Nasrallah and his successor Sayyed Hashem Safieddine in the Sports City Stadium in Beirut, Lebanon, Sunday, February 23, 2025 (AP)
Politics

Hezbollah voices support for Gaza, Resistance on October 7 anniversary

Al-Aqsa Flood restored Palestinian cause on the global stage: Hamas
Politics

Al-Aqsa Flood restored Palestinian cause on the global stage: Hamas

Al Mayadeen English

Al Mayadeen is an Arab Independent Media Satellite Channel.

All Rights Reserved

  • x
  • Privacy Policy
  • About Us
  • Contact Us
  • Authors
Android
iOS